After lowering of other Small saving interest, it’s time for Employee’s Provident Fund (EPF) interest which is lowered by 0.10% to 8.55% for 2017-18 as compare to 8.65% previous year 2016-17.
In the year 2015-16, the interest rate on EPF balances was 8.80%. Earlier EPO had sold a portion of its investment to exchange-traded funds (ETF) worth Rs 2,886 crore in order to retain the existing interest rate 8.65%. The total investment made in ETFs are more than 44,000 crore.
The return on EPF investment is still better than the other existing saving schemes including PPF.